Euro Manganese Announces Offtake Term Sheet with Wildcat Discovery Technologies

VANCOUVER, British Columbia, Aug. 19, 2024 (GLOBE NEWSWIRE) — Euro Manganese Inc. (TSX-V and ASX: EMN; OTCQB: EUMNF; Frankfurt: E06) (the “Company” or “EMN”) is pleased to announce that it has entered into an offtake term sheet dated August 15, 2024 (the “Term Sheet”) with Wildcat Discovery Technologies (“Wildcat”), for the sale of high purity manganese product from the Company’s Chvaletice Manganese Project (“Chvaletice” or the “Project”) in the Czech Republic.

Highlights

Based in San Diego, California, Wildcat partners with global leaders in the battery industry to align and integrate all elements of the complete battery cell for optimal performance. Consistent and significant advancements in Wildcat’s technology have led to a focus on exclusively nickel- and cobalt-free cathode production. Wildcat has announced construction of a U.S. manufacturing facility expected to begin in 2026-2027 to produce a portfolio of safe, sustainable, cobalt/nickel-free cathode materials for electric vehicle battery cells and other markets including stationary storage.
According to the Term Sheet, deliveries are to commence from first production, for an initial term of seven years with potential for extension. Commencement of the initial term is subject to successful qualification by Wildcat of the company’s pure manganese product from the Chvaletice Demonstration Plant.
Offtake tonnages are increasing over the seven year period and the average annual tonnage represents a significant percentage of the Company’s annual production of high purity manganese products. Pricing is expected to be dependent on market indicators, with ramp-up/ramp-up mechanisms linked to certain benchmarks.
The Term Sheet is non-binding and is contingent upon Wildcat building the U.S. facility. However, the parties intend to enter into a binding offtake agreement finalizing the pricing mechanism and tonnage, along with any other necessary agreements.

Dr. Matthew James, President & CEO of Euro Manganesecommentary:
“This is another significant milestone for Euro Manganese and for the battery value chain in the Western market. This long-term offtake term sheet represents a significant percentage of the planned production from the Chvaletice Manganese Project over time. A key value proposition is that our product is not sourced from, or processed by, a foreign entity of concern, a key purchasing criterion for North American customers. We look forward to working with Wildcat as they pursue their goals to supply CAM materials to their customers.”

Mr. Mark Gresser, CEO of Wildcat said: “This agreement is an important step for Wildcat in developing high-quality, low-cost, reliable, localized and IRA-compliant sources for key cathode precursor materials. We view the Euro Manganese partnership as an important part of our supply chain strategy and look forward to working with them in the years ahead.”

About Euro Manganese
Euro Manganese is a battery materials company focused on becoming a leading, competitive and environmentally friendly producer of high-purity manganese for the electric vehicle industry and other high-tech applications. The Company is developing the Chvaletice Manganese Project in the Czech Republic, a unique waste-to-value recycling and remediation opportunity that reprocesses old tailings from a decommissioned mine. The Chvaletice Project is the only significant source of manganese in Europe, strategically positioning the Company to provide battery supply chains with essential raw materials to support the global shift to a circular, low-carbon economy.

About Wildcat
Wildcat’s mission is to produce high-performance American cathode materials to enable the broad adoption of clean energy. Founded in 2006, the company plans to produce a portfolio of nickel- and cobalt-free cathode materials at a manufacturing facility in the United States. At the same time, Wildcat will continue to leverage its 15 years of materials development and cell design expertise to help customers achieve the best integrated battery cell performance. For more information, visit www.wildcatdiscovery.com

Approval for publication by the CEO of Euro Manganese Inc.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor the ASX accepts responsibility for the adequacy or accuracy of this press release.

Questions – Euro Manganese

Doctor Matthew James
Chairman and CEO
+44 (0)747 229 6688
[email protected]

LodeRock Advisors
Neil Weber
Investor and Media Relations – North America
+1 (647) 222-0574
[email protected]

Jane Morgan Management
Jane Morgan
Investor and Media Relations – Australia
+61 (0) 405 555 618
[email protected]

Company address: #709 -700 West Pender St., Vancouver, British Columbia, Canada, V6C 1G8
Website:www.mn25.ca

Forward-looking statements

Certain statements in this press release constitute “forward-looking statements” or “forward-looking information” within the meaning of applicable securities laws. Such statements and information involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company, the Chvaletice Project or industry results to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information. Such statements can be identified by the use of words such as “may”, “would”, “could”, “will”, “intend”, “expect”, “believe”, “plan”, “anticipate”, “estimate”, “scheduled”, “predict”, “forecast” and other similar terminology, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved.

Readers are cautioned not to place undue reliance on forward-looking information or statements. Forward-looking statements are subject to a number of risks and uncertainties that could cause the Company’s actual results to differ materially from those discussed in the forward-looking statements and, even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences or effects on the Company.

Such forward-looking information or statements also include, but are not limited to, statements regarding the Company’s intentions with respect to the development of the Chvaletice Project, the Company’s ability to produce high purity manganese products that can be qualified by Wildcat, that offtake tonnages will increase over time and will constitute a significant portion of the Company’s production, and the Company’s ability to enter into a binding, long-term offtake agreement with Wildcat.

All forward-looking statements are based on the Company’s current beliefs, including various assumptions made by the Company, including that the Chvaletice Project will be developed and operated as planned, that the Company will obtain sufficient financing and that the Company will be able to enter into a binding offtake agreement on favorable terms. Factors that could cause actual results or events to differ materially from current expectations include, among others: insufficient working capital; risks related to the ability to obtain, modify or maintain necessary licenses or permits; risks related to the acquisition of surface rights; lack of availability of financing to develop and advance the Chvaletice Project; the inability to develop sufficient processing capacity; the possibility that unknown or unanticipated events may cause contractual terms to not be met; developments in the EV (electric vehicle) battery markets and chemistry; risks related to fluctuations in exchange rates; and regulations and changes in laws by various governmental authorities. For a further discussion of the risks relevant to the Company, see “Risk Factors” in the Company’s Annual Information Form for the year ended September 30, 2023, available on the Company’s SEDAR+ profile at www.sedarplus.ca.

Although the forward-looking statements in this press release are based upon what the Company’s management believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this press release and are expressly qualified in their entirety by this cautionary statement. Subject to applicable securities laws, the Company undertakes no obligation to update or revise the forward-looking statements in this press release to reflect events or circumstances after the date of this press release.